The loss for the 12 months ended March 31, 2012 is predominantly due to a writedown on property values of £7.2m following a valuation of the group’s freehold and leasehold properties in June 2012.
The company’s operating profits before the property revaluation impairment charge were £75,000 (2011: £1.17m). The group recorded turnover of £85.8m (2011: £90m), with UK turnover at £77.6m (2011: £83.6m).
Timbmet said the economic climate in the UK and Europe continues to adversely impact the building, construction, shopfitting and refurbishment industries, which in turn continued to have a "significant impact" on the the group’s trading during the year.
"Following the restructuring and a number of key management changes, we have a stable base on which to rebuild the business and it is planned that operating profit will recover over the next two to three years through developing in the UK and global markets," it said.
The group’s losses to bad debts accounted for 0.7% of sales (2011: 0.6%).
It also said the timber trade had seen increasing peaks and troughs of supply and demand in recent years, seriously affecting prices and availability.
